written by | April 29, 2022

What is the NEFT Settlement Time and NEFT Limit?

A couple of decades ago, you would have never imagined how technology would make some essential activities in life so simple and easy. One of the most convenient features is transferring money between two bank accounts, with the accounts belonging to the same bank or two different banks. This transfer is made possible through NEFT, which stands for National Electronic Funds Transfer, an initiative of the Reserve Bank of India. NEFT facilitates the seamless transfer of funds which can be completed within a minimum of minutes or a maximum of 2 hours. Regulated by the RBI, which is the provider of this service, it enables a secure transfer of funds at any time of the day. This is a service that can be used by anyone who has a bank account. Easy to use, it is resorted to by business enterprises as well as individuals. 

Most NEFT transactions are settled within a day, although the time taken may vary across banks. Once the funds' transfer is made, you get a message confirming the same. You will also get a confirmation on the email you have registered with the said bank. If you have erroneously made the transfer to the wrong account, you can contact the bank at once and mention the account number to which you have transferred the funds. The said amount will be transferred automatically to your bank account.  

Did you know?

That NEFT facilities are available 24x7, even on holidays.

National Electronic Funds Transfer (NEFT)

Everyone likes their financial transactions to be executed smoothly and speedily without intervention. You can use mobile banking or internet banking to transfer funds through NEFT. Irrespective of time zones and location, you can make a transfer of funds from within the comfort of your home, office, or even while travelling. NEFT enables monetary transfers even during bank holidays. You can make transfers over the weekends as well. Its striking features include an automatic payment feature for expenditures like your credit card bills or any EMIs that you have to settle regularly for a specific time.

Moreover, the Reserve Bank of India has not set any limits on the number of funds an individual may want to transfer. Some banks do not allow transactions exceeding an amount of ₹ 2 lakhs for every transaction. You must remember, though, that the processing takes place in fixed batches because of the large number of transactions, and this can cause a slight delay in the transfer of funds.

Also Read: Real-Time Gross Settlement (RTGS)- Definition & Importance

NEFT Settlement Time

The National Electronic Funds Transfer (NEFT) is one of the most reliable channels to credit the recipient concerned. Some of its striking features include the following:

  • The facility is available 24 hours. Almost all transactions made through NEFT are settled within 24 hours
  • Because of the large volume of transactions, there are specific batch timings. These occur at intervals of 30 minutes
  • In a day, there are a total of 48 batches which take place at 30-minute intervals every single day
  • After the regular banking hours, all NEFT transactions are executed via the process of 'Straight Through Processing', which is better known as STP
  • If the amount is credited to the wrong account, the reverse transaction settlement is made within 2 hours to the bank from where the funds were transferred.

NEFT Transaction Times

There is no specific NEFT transaction time as it is available 24 hours a day. However, since the processing takes place in batches, a lot depends on the number of funds you wish to transfer. Some of the banks do have specific NEFT processing times which are given below:

Axis Bank timings for NEFT:

As per the limit defined against the said account

Credit time – NEFT

8.00 am – 4.30 pm

Transfer of funds less than ₹ 5 crores

Clearing time – NEFT

4.30 am – 6.30 pm

Funds amounting to ₹ 1 crore

Transacting time – NEFT

6.30 pm – 8.00 am

HDFC Bank:

Online - as per the limit defined against the said account – NEFT transfer i.e. a maximum amount of ₹ 50 lakhs on every RBI operating day


Transfer time - NEFT



7.00 am – 7.00 pm

Online - In case of a transfer of ₹ 2 lakhs per transaction, (max amount of  ₹ 50 lakhs) even on all holidays


Standard transfer time - NEFT


7.00 am – 7.00 pm

Offline – fund transfer at bank branch

Transfer time - NEFT

Working hours applicable to the said Bank Branch

Citibank timings for NEFT:

Online fund transfer – Mondays – Friday and working Saturdays

Credit time – NEFT

8.00 am – 7.00 pm

Transfer of funds through mobile banking – Monday to Friday and working Saturdays

Transfer time - NEFT

8.00 am – 7.00 pm

Fund transfers on Bank holidays as well as Sundays

Settlement time – NEFT

7.00 pm – 8.00 am

How to Make Transactions Through NEFT?

Following is the procedure to complete all formalities to be able to make transactions through NEFT:

  • At the onset, you will have to complete the requisite form with the correct details of the person or business you plan to make the transfer of funds to
  • The details you have to furnish with accuracy include the recipient’s name, the account type, the IFSC code of the branch in which the recipient holds an account, and the exact amount of funds that you want to transfer
  • As soon as the bank receives these details, it will debit your account with the said amount and arrange for the same transfer to the recipient’s account
  • The activity which takes place within the bank involves the bank sending a message to the pooling centre. This is better known as the NEFT service centre.
  • The message is then shared with the clearing centre of NEFT, which comes under the purview of the RBI’s national clearing cell
  • The next step involves the organising of the said orders
  • The requisite messages are sent to the bank of the recipients
  • Once the so-called destination banks receive the messages, the transfer of funds takes place seamlessly

NEFT Transaction Charges

All NEFT transactions executed through the mobile application or the web are not liable for charges. In case you need to make NEFT at the bank, it involves charges under the various slabs of funds. The details are as follows:

Transaction amount


Up to ₹ 10,000

Will not exceed ₹ 2.50 taxes

Exceeding ₹ 10,000 but less than ₹ 1 lakh

₹ 5 taxes

Exceeding ₹ 1 lakh but less than ₹ 2 lakhs

₹ 15 taxes

Exceeding ₹ 2 lakhs

₹ 25 taxes

Also Read: IMPS (Immediate Payment Service)- What is IMPS Transfer, IMPS Payment, Timings & Limit

Why Is NEFT the Most Preferred Mode of Fund Transfer?

NEFT is the most preferred choice for transferring funds among almost all individuals. It is the safest channel as it is an initiative of the Reserve Bank of India. The benefits of using NEFT are varied, and some of these are as follows:

  • You do not have to use the conventional cheque or go through the process of creating a demand draft to transfer the funds.
  • It is time-effective. You don’t have to bear the brunt of the traffic chaos. You can transfer funds online irrespective of where you are, whether at home, office, travelling, or on holiday. You can make the transfer of funds even if you are travelling
  • There are no limits on the number of funds you wish to transfer. You can make a transfer of funds of your choice without having to worry about the minimum or maximum amount permissible.
  • You do not have to worry about bank timings. You can make the transfer of funds at any time of the day, be it noon or midnight. You can rest assured that the transaction will go through safely and on time.
  • Updates on every NEFT transaction are intimated to the sender and receiver as soon as the transaction is fulfilled. These updates are sent in the form of a text message on the mobile number registered with the bank and via email that is registered with the bank.
  • All transactions through NEFT are secure as NEFT has been founded and regulated by the Reserve Bank of India.


This article offers an insight into all the benefits of the National Electronics Funds Transfer (NEFT) facility. The ease with which funds are transferred and the security NEFT provides is unmatched. There are no limits to the number of funds you can transfer, and your transactions are not restricted to any specific timings. If a credit is made erroneously to a wrong account, all you have to do is inform the bank, and the same is credited to your account within a couple of hours. 

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Q: Are there any rules regarding the NEFT transaction time?


No, there are no time restrictions for NEFT transactions.

Q: What is the NEFT limit per day?


There is no limit to the number of transactions done via NEFT.

Q: What is the meaning of NEFT settlement time?


NEFT settlement time is when the funds are transferred from the sender’s account to the recipient’s account. The transactions take place in batches at intervals of 30 minutes, and the settlement does not exceed a time frame of more than 2 hours though it varies from bank to bank.

Q: What is NEFT transfer time?


NEFT transfer time is best defined as the transfer of funds between two accounts in the same or different bank, so the time varies between 15 minutes and 2 hours.

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